Overview
- Unverified reports from TipRanks and HR Digest claimed Microsoft was weighing 11,000 to 22,000 layoffs this month, potentially affecting Azure, Xbox, and global sales in the third week of January.
- Microsoft chief communications officer Frank X. Shaw publicly rejected the claims on January 7, calling them "100 percent made up / speculative / wrong," with a Windows Central editor also disputing the Xbox-specific rumor.
- Coverage underscores that Microsoft cut more than 15,000 roles in 2025, including roughly 9,000 in July, following earlier reductions in 2023 and 2024.
- Analysts have linked potential future cuts to rising AI infrastructure costs and data center depreciation, with reporting noting Microsoft’s stated plan to spend about $80 billion on infrastructure last year.
- The same rumor referenced a stricter return-to-office policy beginning February 23 requiring three in-office days for staff within 50 miles of a site, which has not been independently confirmed.